Xiaomi CEO Warns Against Delaying Phone Upgrades as Prices May Continue to Rise

Xiaomi CEO Lei Jun has warned consumers not to delay purchasing new phones for too long, as he predicts smartphone prices may continue to rise in the coming years. The statement was made during the launch event for the Xiaomi 17 Max on Thursday, 21 May 2026.

Lei Jun advised regular annual phone upgraders to consider purchasing sooner, citing rising costs of smartphone components, particularly memory (RAM) and storage chips, across the industry. He added that surging prices for these components are now directly impacting electronics manufacturing costs, including smartphones.

Xiaomi claims it is striving to prevent these cost increases from burdening consumers through supply chain efficiencies and internal technology optimisation. However, Jun noted that sustaining stable phone prices would become increasingly difficult if component costs keep rising. He estimated memory chip prices would continue to climb for at least two years, until around 2028.

Xiaomi was among the first brands to publicly warn about memory price hikes since 2025, he said. If current conditions persist, gadget manufacturers including Xiaomi may struggle to keep device prices stable in the market.

Similar views were expressed by Xiaomi Group President Lu Weibing in a recent public livestream. Weibing predicted that premium flagship phones from Chinese gadget vendors could reach 10,000 yuan (approximately £1,100) by year-end.

Cost pressures from upstream suppliers remain high, making it harder for smartphone makers to maintain stable pricing. This impact is already visible in China’s market, with several phone models reporting price increases of 200 to 400 yuan (approximately £22-£44) since March 2026, according to KompasTekno’s compilation from Gizmochina.